Chapter 560 Amazing advertising revenue

Although the increase in revenue of these companies is a very happy thing, but the degree of external dependence is too high, 85% of revenue comes from overseas markets.

This number is actually very dangerous. Once unpredictable problems occur, it is very likely that these benefits will be greatly reduced, and business stability may be affected.

The only thing that makes him more gratified is that the diversification of overseas business sources makes it difficult for the worst case to happen, unless it is facing an extreme situation.

Of course, in turn, Phoenix Technology has a strong global influence, especially these industrial software, management software and tool software.

These three are actually software that can improve production efficiency and level. Once the world relies on their software, it is actually difficult to target them.

The reason why it feels more dangerous at present is mainly because there is no single player in the overseas market, especially for industrial software. Many large companies develop the software they need by themselves.

And the machine embedded software that closely cooperates with the machine is basically developed by the machine manufacturer itself, and it is also treated as a core technology by them.

Suzaku Software's business income in this area mainly comes from small and medium-sized enterprises. Due to their accumulated experience, their machine software systems are not particularly advanced. It is the most cost-effective to purchase Suzaku Software's software products.

The domestic proportion of 15% seems to be high, but in fact most of it comes from the purchases of his own industries, and the scale of purchases by other domestic companies is not high.

First, the number of top domestic industrial enterprises is still relatively small, so the demand for such high-level software systems is naturally small, that is, the total market demand is still small.

The second is that the country does not pay enough attention to software systems. Everyone likes visible and tangible machinery and equipment, and feels that software should be delivered with these things.

Even if these software systems are sold relatively cheap in China, they still feel that they are relatively expensive. Many people don't want to pay for them unless it is really unavoidable.

This situation will exist in China for a long period of time. Ye Zishu can only use the low income level of domestic enterprises as an excuse for the time being. It is hoped that when the business conditions of the enterprises improve, it will be able to improve.

Because the use of these software systems can indeed improve domestic industrial and commercial strength, it would be a pity if you don't know the goods, and such enterprises should not be able to develop too well.

And the emergence of this kind of situation makes him more worried that the industrial and commercial strength at home and abroad will further expand, but if he does not do these businesses, other companies will do it, and whether he does it or not will not change this trend.

Getting rid of this trouble of happiness, Ye Zishu asked: "How is your cloud computing platform business?"

The cloud computing platform software system is actually quite difficult, especially if you explore it alone without reference, it will definitely not be launched so soon.

The framework and core technology of Phoenix Technology's cloud computing platform are provided by Leaf Book. They only need to fill in the framework, which is much easier to do.

Therefore, the cloud computing platform began to open to the outside world at the beginning of this year. Although the services provided are not particularly rich, it can be regarded as a brand-new business model that meets certain market needs.

"Currently, this business is operated by the headquarters of Phoenix Technology, and the income so far has been less than 5 billion yuan. The main source of income is actually the needs of internal enterprises.

The second is small-scale enterprises from all over the world. Many management software of Honghu Software are deployed on our cloud computing platform.

However, medium and large enterprises do not have enough trust in our platform. They would rather deploy their applications on their own servers than deploy them on cloud computing platforms. "Lei Jun said.

This result can be described as no surprise or joy. Ye Zishu had expected to encounter trust problems before, and new things always need time for everyone to accept.

Fortunately, the original intention of building a global cloud computing platform was to solve internal problems. One was to provide better services to Internet companies, and the other was to digest Qinglong Technology’s server capacity.

Now the number of Internet users is increasing rapidly, and the number of users of Internet companies under Phoenix Technology is also increasing rapidly, which will lead to a rapid increase in their hardware requirements.

Now with the support of the cloud computing platform, their business expansion does not need to worry about these bottlenecks, and they can seamlessly expand according to user needs.

It is not that there are no Internet companies now, but the services provided by any Internet company cannot be compared with its Internet companies.

Behind these high-quality services are all supported by technologies such as cloud computing platforms, so Ye Zishu did not express its concerns about this performance, nor did it give any business opinions.

Then Ye Zishu asked Kunpeng Information Technology Company about the operation of its streaming media platform. This platform was the earliest to be commercialized, and it was commercialized as soon as it went online.

Because the operating cost is too high, and the loss of non-commercialization is too serious, the current source of income is advertising and membership. If it is for members, the number of advertisements can be reduced, and at the same time, you can see high-definition images.

According to Lei Jun's introduction, the number of their members has reached 15 million, which is actually quite impressive, especially when the number of Internet users is not very large.

The reason why it has grown so fast is mainly because the platform can now provide a lot of exclusive film and television dramas, making users more dependent on the platform.

Compared with watching tens of seconds of advertisements, many people would rather spend money to buy memberships, and members can also watch high-definition videos, which is a service that only members can enjoy.

It’s just that the number of members is a bit small compared to the number of users on the platform. Currently, the number of users on the streaming media platform is as high as 55 million, which means that the remaining 40 million users are non-member users.

The revenue in the first five months was 30 billion yuan, which seems a lot, but in fact it has just achieved a breakeven, because a considerable part of it needs to be distributed to content providers.

For example, the cooperation between Phoenix Special Effects and the platform adopts a 50-50 split model, and the remaining content needs to be purchased by the platform itself, which requires money.

Plus some variety shows and video news content produced by themselves, these also cost money to produce, in addition to broadband costs and operating costs.

To be honest, it is a remarkable thing to be able to achieve breakeven so quickly. Later, as the number of platform users increases, profits will be realized.

Since most of the source of income is advertising, and according to their calculations, the income from advertising is actually much higher than that of membership, so they are not so enthusiastic about the number of members.

The reason why advertising revenue is so high is mainly because their streaming media platform has followed home game consoles and smart TVs into thousands of households, and it is not much different from traditional TV stations.

Moreover, compared with the advertisements of traditional TV stations, the advertisements of streaming media platforms are more accurate, the value of advertisements is higher, and advertisers are more willing to pay higher prices.

In addition, their streaming media platform will formulate advertising strategies based on each user's viewing habits, so that viewers will not be disgusted with their advertisements.

Moreover, when making advertisements, the content of the advertisements is also very particular. Many of the contents are very interesting, and many viewers even think that the advertisements are very good-looking.

It can be said that advertising on the Internet platform has much more advantages than traditional TV stations, but in terms of advertising operations, the cost of Kunpeng Information Technology Company is very low.

They connected their streaming media platform to the digital advertising platform of Shengshi Advertising Company, so that they don't have to develop advertising resources.

In addition to reducing advertising operating costs, Shengshi Advertising Company also gained huge benefits, allowing their digital advertising platform to go international.

Although the proportion of Shengshi Advertising Company's commission is not high, it has allowed them to gain more international markets. These interesting advertisements come from Shengshi Advertising Company.

Shengshi Advertising Company has obtained considerable returns from the advertising content production business, in order to further reduce the cost of advertising production and improve the efficiency of advertising production.

They applied for the use of Phoenix Special Effects' intelligent film and television content creation system, and they only need to pay Phoenix Special Effects' 2 billion yuan in licensing fees every year.

Regardless of the high licensing fee, it is actually nothing compared to the benefits brought to Shengshi Advertising Company. It can be regarded as the price of care given to them by Phoenix Special Effects Company.

Shengshi Advertising Company uses these systems and artificial intelligence to integrate them together to form a fully automatic digital advertising platform, which is completely different from traditional advertising production.

Enterprises who want to place advertisements only need to log in to their digital advertising platforms and follow their guidance step by step to get the advertisements they want as well as the advertisement positions and time slots.

During this process, Shengshi Advertising Company does not need manual intervention, which saves them a lot of labor costs. It is important to know that international labor costs are not low.

Moreover, this system made it possible for them to produce advertisements on a large scale, otherwise their company would simply not be able to keep up with the massive amount of advertisement production.

The current Shengshi Advertising Company has also recruited a large number of advertising creative designers to provide a large number of advertising creative design frameworks for digital platforms for use by artificial intelligence.

As for the advertising models and object models, they directly use the data of Phoenix Special Effects Company, which can save the cost of advertising production, and at the same time bring more benefits to Phoenix Special Effects Company.

The advertising production fee is determined according to the duration of the advertisement content, the complexity of the advertisement content, and the duration of the advertisement. Cheap advertisements only cost tens of thousands of yuan, while expensive advertisements cost tens of millions.

And these advertisements are also distinguished by copyright. One is that they are only placed on digital advertising platforms and are not allowed to be placed on other platforms. The price is relatively cheap.

The other is full-platform advertising copyright, which can be downloaded and disseminated by enterprises without any restrictions, and the price is naturally more expensive.